An MBB differs from a CMO or a pass$-$through in that:

I. the MBB does not result in the removal of mortgages from the balance sheet.

If$.$ an MBB holder has no prepayment risk.

III. cash flows on an MBB are not directly passed through from mortgages.

Multiple Choice

I only

I and II only

$*$

I and III only

I, III, and ${?}^{\text{m}\text{i}\text{l}}$

Prey

$22$ of $24$

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